CR 06-094 Amend Legislative Policy 6-E Finance Billing Collection Policy
August 31, 2006
Council Report 2006-094
AMEND lEGISLATIVE POLICY 6-E
FINANCE BilliNG COllECTION POLICY
Proposed Action
Staff recommends adoption of the following motion: Move to Adopt Resolution 2006-052
amending Legislative Policy 6- E Finance Billing Collection Policy.
Adoption of this motion will delete section 2.02 and amend section 3.01 of Policy 6-E Finance
Billing Collection Policy.
Overview
Due to customer concerns regarding the amount of time a property needs to remain vacant before
refuse service can be discontinued on a temporary basis, staff reviewed the policy and researched
policies of other cities and refuse services. Based on that review staff is recommending that we
amend our policy requiring a 90 day minimum for refuse service discontinuation. To better serve
our customers staff is recommending a minimum 30 day discontinuation of service
This will allow rental properties in transition between renters and properties that are in transition
between owners to discontinue their refuse service for a minimum of30 days rather than 90.
Primary Issues to Consider
Improved customer service
Similar policies by other communities and refuse services
Supportin2 Information
Resolution 2006-052
Amended Legislative Plicy 6- E
Memo from Penny Cleve, Refuse Coordinator
~~~~
Christine M Harkess, CPA, CGFM
Finance Director
CITY OF HOPKINS
Hennepin County, Minnesota
RESOLUTION NO. 2006-052
A RESOLUTION AMENDING LEGISLATIVE POLICY MANUAL, CHAPTER 6-E
FINANCE BILLING COLLECTION POLICY
WHEREAS, The City Staff has determined that changing the policy for discontinuation of refuse
service would benefit the city as a whole; and
WHEREAS, the Hopkins City Council adopted a policy in 1982 through resolution 82-3039
establishing a finance billing collection policy that was subsequently incorporated into the
Legislative Policy in June 1998; and
WHEREAS, the existing policy needs to be amended to provide increased customer service;
NOW THEREFORE BE IT RESOLVED, that the City Council of the City of Hopkins hereby
amends the Legislative Policy 6- E, Finance Billing' Collection Policy, by deleting section
2.02 and amending section 3.01.
NOW THEREFORE BE IT RESOLVED, that these amendments will go into affect on September
6, 2006.
Adopted by the City Council of the City of Hopkins this 5th day of September, 2006.
By
Eugene Maxwell, Mayor
ATTEST:
Terry Obermaier, City Clerk
POLICY 6-E
FINANCE BILLING COLLECTION POLICY
1. PURPOSE
1.01 The purpose of this policy is to establish procedures to ensure the collection of utility bills
and accounts receivable invoices.
2. POLICY
2.01 Utility Bills. Utility bills will be sent out on the third working day of the month and are due
in 20 days. Payments received in the mail will not be charged a penalty if postmarked before
the due date. Payments received in the night deposit by 8:00AM the day after the due date
will not be charged a penalty. A penalty of 10% of the water, sanitary, sewer, storm sewer
and refuse charges will be charged if the bill becomes delinquent.
2. 02 Utility! Bill Reminder Notices. Reminder notices 'will be sent out fifteen (15) days after the
bill becomes delinquent.
2.02 Accounts Receivable Invoices. Invoices for tree removal, rental of city space, repairs to City
property, and other miscellaneous charges are billed and due 20 days from the bill date.
2.03 Certification of Delinquent Amounts. Delinquent amounts dated prior to June 1 8t of the year
will be processed for assessment certification on a yearly basis to Hennepin County. Written
notice shall be mailed to each such debtor during the month of June, advising him or her of
this policy. There shall be a $50.00 service charge added on each such utility account or
accounts receivable invoice.
3. SERVICE DISCONTINUATION POLICY
3.01 days.
The resident must contact the City and make a request . -fet:-a
special .....;ater meter reading for the day they leave and the day they return. The v/ater usage
".-.rill be limited to a maximum of 1000 gallons per quarter during the period the property is
"Jacant. Ifl:ls&ge exceeds the maximmn limit, refuse charges ".vill be applied.
PUBLIC WORKS
Memorandum
To:
Copy:
From:
Date:
Subject:
Christine Harkess
Pat Weigel (;) 1
Penny Cleve Vffifl--r
August 2, 2006
Temporary Suspension of RefusefRecycling Collection
Last week Judith Hutchins, owner of 248 Jackson Avenue North, requested that the City review
its policy on temporary suspension of refusefrecycling collection. (See attachment) Currently
the City of Hopkins Legislative Policy, Chapter 6E, Section 3, Subd. 3.01, states that "Refuse
service may be discontinued for a period of no less than ninety (90) days." (See attachment)
I could not find any policy regarding suspension of the recycling service.
I have contacted the City of Farmington, who does their own refuse pick up like Hopkins, and
three independent refuse/recycle haulers to find out what their policies are regarding this issue.
Allied Waste & Waste Management:
The shortest amount of time these contractors will temporarily suspend service is two weeks.
They require one-week notice prior to suspension and a date to reinstate service. These
companies do not pick up the carts.
Randy's Sanitation:
Allows two "holds" a year. There is no minimum or maximum time period for the "hold".
City of Farmington:
Farmington requires a form be completed to request a temporary suspension of refuse pick up.
It is good for up to six (6) months. They charge a $30 fee for each request and they do pick up
the container.
The suspension is effective on the 1 st day of the month following receipt of the completed form
and the property has to be vacant. They do not allow retroactive requests. There is no
minimum time period. It is up to the resident to decide if the $30 fee is more cost effective than
just paying the regular refusefrecycling fee. They have found that most residents choose to pay
their regular monthly fee for short-term absences since it is less than the suspension fee.
I have spoken with Waste Management regarding a temporary suspension policy for Hopkins
recycling pick up. Since Hopkins has recycling pick up every other week they would like to see
the minimum service suspension to be no less than a month.
Public Works would like to request that Finance amend Legislative Policy 6-E, Section 3, Subd.
3.01 regarding Refuse Service Discontinuation to read "Refuse and Kecychng service may be .,
discontinued for a period of no less than thirty (30) days." Public Works would not pick up the
containers. It would be the resident's responsibility to store the containers.
Attachments
Page 1 of 1
Penny Cleve
From: Ray Vogtman
Sent: Friday, July 28, 20069:57 AM
To: 'Hutchins, Judith A - Loretto, MN'
Cc: Penny Cleve; Steve Stadler
Subject: RE: Garbage service - 248 Jackson Avenue North
I will pass your comments on to the recyling coordinator, Penny Cleve and also to the Director of Public Works, Steve
Stadler. My division does the changeouts, repairs and pickup of the refuse etc. The actual policy for this service is not
really in my hands. Thanks for your comments, Ray
From: Hutchins, Judith A - Loretto, MN [mailto:judith.a.hutchins@usps.gov)
Sent: Thursday, July 27, 2006 9:28 AM
To: Ray Vogtman
SUbject: Garbage service - 248 Jackson Avenue North
Ray, I just talked to Pat in utilities and I am wondering about the three month rule for the stopping of garbage. It seems
like if we have a vacant rental property, that the City of Hopkins would make exception to this rule. If I know I am not
going to have a renter on the property for a month or two months we should be able to stop the garbage service and store
the garbage and recycling bin in the garage. To make us pay for a service that is not being used due to a vacancy is
unreasonable. We have to have your garbage service and as a courtesy to your residents if it is for a month or longer and
there are no residents on the property, garbage service should be able to be temporarily discontinued.
I live in Mound and I can stop my garbage service at any time for a week, two weeks or more. I also can shop around and
..et better prices with competitors of my garbage service.
wr would like you to submit this request to your superiors. I think with the slow rental market it would be a courtesy to
owners to be able to stop the garbage for a month or two and not be penalized for this. We are already paying non-
homestead taxes, which have been steadily rising in the past, as is sewer and water and garbage fees with no increases
in rent due to the market.
Please consider this request to change your city government ruling on this matter in certain instances.
I can be reached during the day at (763) 479-2656 or e-mail at Judith.a.hutchins@usps.gov
Thank you, Judy Hutchins
.
7/28/2006
POLICY 6-E
FINANCE BILLING COLLECTION POLICY
1. PURPOSE
1.01 The purpose of this policy is to establish procedures to ensure the collection of utility
bills and accounts receivable invoices.
2. POLICY
2.01 Utility Bills. Utility bills will be sent out on the third working day of the month and are
due in 20 days. Payments received in the mail will not be charged a penalty if
postmarked before the due date. Payments received in the night deposit by 8:00AM the
day after the due date will not be charged a penalty. A penalty of 10% of the water,
sanitary, sewer, storm sewer and refuse charges will be charged if the bill becomes
delinquent.
2.02 Utility Bill Reminder Notices. Reminder notices will be sent out fifteen (15) days after
the bill becomes delinquent.
2.03 Accounts Receivable Invoices. Invoices for tree removal, rental of city space, repairs to
City property, and other miscellaneous charges are billed and due 20 days from the bill
date.
2.04 Certification of Delinquent Amounts. Delinquent amounts dated prior to June 1 st of the
year will be processed for assessment certification on a yearly basis to Hennepin
County. Written notice shall be mailed to each such debtor during the month of June,
advising him or her of this policy. There shall be a $50.00 service charge added on each
such utility account or accounts receivable invoice.
3. SERVICE DISCONTINUATION POLICY
3.01 Refuse service may be discontinued for a period of no less than ninety (90) days. The
resident must contact the City and make a request for a special water meter reading for
the day they leave and the day they return. The water usage will be limited to a
maximum of 1000 gallons per quarter during the period the property is vacant. If usage
exceeds the maximum limit, refuse charges will be applied.
Established: 1982 (Res. 82-3039)
Incorporated into Legislative Policy: June, 1998
Legislative Policy Manual- Chapter 6-E